3rd December 2018 - 2 Min Read Time

How to Measure Success with Ecommerce Personalisation

One of the most important factors behind choosing any ecommerce personalisation solution is being able to measure the success of your site. It’s crucial to understand what your customers are experiencing on your site, and how it contributes to them making a purchase or not, whether they return or not, whether they increase their average order value or not.

How can you measure your success with ecommerce personalisation to ensure that your visitors are experiencing a truly relevant, custom journey through your site? Here are three ways.

1. Measure Conversion Rate

Conversion rate is one of the key ways to measure any kind of ecommerce success, but it’s especially telling for personalisation.

When customers experience a site which responds in real-time to their behaviour, when they see product recommendations which are perfectly designed to match their intentions and needs, they respond by clicking and buying.

Providing your online shoppers with relevance as they browse and shop is absolutely critical. How can you tell if it’s working? If the proportion of people who buy something when visiting your store is increasing. That way you know that your visitors are finding what they’re looking for – and beyond.

2. Measure Bounce Rate

Bounce rate is a useful metric when it comes to understanding if your site’s personalisation is optimised, especially when it comes to the search. When customers look for something on your site and then leave, whether or not you stock it, that’s a bad sign and shows that they weren’t able to find what they were looking for.

By contrast, customers who immediately see the products they’re looking for – or even products which they were not looking for, but which anticipate their needs, are much more likely to stick around rather than bouncing.

3. Measure Average Order Value

Most people track revenue, but when it comes to understanding the nuance behind what your customers are thinking, Average Order Value (AOV) can’t be beat.

Personalised recommenders should be in place at key conversion points – like the Product page, the Add to Cart page, the Order Confirmation page. All of these will be displaying personalised recommended products for the visitor. Ideally, this results in visitors seeing something which goes perfectly with their current order and add it to their cart. But the reverse? If they’re not seeing good, relevant content, they’ll continue with their current order without adding additional products.

Poor personalisation will mean that instead of reacting in real-time to optimise the type of product recommendations being shown on each page to each person, the same recommenders are placed on the same pages for different customers. This is not personalised at all, and will not result in a higher AOV. If your ecommerce personalisation is working, the AI will determine what strategy is the most likely to get your customers to add that product to their cart at that moment in time, using all the information it has at its disposal. This will give you a higher AOV as your visitors add more products to their orders.

The Takeway

There are lots of ways that indicate whether your personalisation is successful or not. The aim is to provide online shoppers with relevance, real-time interaction with the site, and a spectacular experience. If you’re not seeing AOV increase, bounce rates decrease, or conversion rates go up, consider investigating what your customers and your personalisation might be missing.

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